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"Unfortunately, after a great start to his tenure, Governor Schwarzenegger has turned to the dark side, embracing unions and massive spending and borrowing, to go along with the state's already oppressive tax burden," says supply side economist Arthur Laffer. "Not surprisingly, people are fleeing the state in the face of anti-growth policies," complains Laffer, noting a huge budget shortfall, and predicting a downgrade in California's general obligation debt. Laffer is following his own advice. About a year ago, he moved his operation, Laffer Associates, from its longtime base of San Diego to Nashville, Tennessee.

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Comments

Anonymous Jan. 18, 2008 @ 2:51 p.m.

Hey Don, You know how expensive it is to live in California, especially southern California. I certainly wouldn't question their motives. Heck didn't you flee to Colorado where the cost of living is more reasonable? Honestly, I don't know how my children, who attend high school now in SD, could ever afford to puchase a home without having to finance a 50 year mortgage. Even with the recent round of devaluations, the median price for a "starter" is still in the mid to high $400K range... Heck that's $400 buck a month just for property tax.

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JohnnyVegas Jan. 18, 2008 @ 4:59 p.m.

He is 100% correct, we have corporate welfare AND government employee welfare. Cannot survive that combo.

Of course AB Laffer's supply side "voo doo" economics did not work in the 80's and they don't work now, but he at least gets this one right.

This is the state where HS educated prison guards, FF and cops make $200K per year and retire at age 50 making more.

This is the state where BILLIONAIRES and MILLIONAIRES rip off the taxpayers by buying off government officials.

That is not funny money, and it comes from somewhere, ever increasing taxes and fees. I got a seatbelt ticket 2 months ago, and had to post $110 bail to set it for trial, it was $110 for a SEATBELT ticket. When that law was passed about 10-12 years ago it was $25 for a violation..... nickel and diming us to death-and while the infrastructure crumbles.

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JohnnyVegas Jan. 18, 2008 @ 5 p.m.

BTW, this new fornmat is very hard on the eyes.

Who was the Einstein that came up with it?

Old rule, if it's not broken don't try to fix it.

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Anonymous Jan. 18, 2008 @ 5:01 p.m.

After 55 years in San Diego I moved to Wisconsin last January. Its about 0'F outside, and I do miss California, but its just not the place I grew up in anymore. Freeways are so congested every day of the week that you can't get to the wonderful places that are still there without feeling exhausted. Central Wisconsin is so empty. Even Chicago isn't as much of a chore to drive through as LA. Even if I'd had the money to rebuild my childhood home, I don't know if I could have brought myself to spend what even a modest replacement would have cost. So long as you don't buy waterfront property, houses here are a quarter or third of what they would cost in SD.

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DavidGUrban Jan. 18, 2008 @ 6:44 p.m.

As a 50 year plus resident, born and raised right here, I can't tell you how disappointing it is to see how things have become. I have already bought retirement property in Oregon. Heck, I may move sooner.

That state will reap the benefit of my future spending, taxes and so forth. The economic consequences of the political decisions of the past in CA were not well thought out. Even now, no one thinks past the moment.

The one poster was right about the hidden costs when he talked about the seatbelt ticket. Hidden fees, overall decreased services, declining education infrastructure, and an overall deceasing quality of life; all of these things are ruining California.

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Anonymous Jan. 18, 2008 @ 8:20 p.m.

Wait! Don't leave! Didn't you know that tribal gaming is going to save us all? San Diego, if it ever builds a billion dollar stadium, will make millions every 10 years. And those potholes? Hey, they way we're building there won't be any streets left! Stick around, we've got more fun things in mind like repealing Propostion 13. Who needs those pesky old folks!

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Don Bauder Jan. 18, 2008 @ 10:54 p.m.

Response to first post: Yes, we moved to Colorado, but economics wasn't the only consideration. While we lived in San Diego (30 years), we wanted to take advantage of the high housing prices and get more elsewhere. At the same time, we wanted lower taxes. We also wanted a small community, which we got -- in rural Colorado. Best, Don Bauder

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JohnnyVegas Jan. 19, 2008 @ 7:32 a.m.

OK Don, they have now messed up my book marks, where is the Cty Lights link at??????

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Don Bauder Jan. 19, 2008 @ 8:47 a.m.

Response to second post: Yes, corporate welfare and government employee welfare are a deadly combination. You are also right that prison guards make too much money and have too much clout. California sends too many people to prison and one reason is that the pols are bowing to this pressure group. Best, Don Bauder

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Don Bauder Jan. 19, 2008 @ 8:48 a.m.

Response to third post: I will pass along your complaints. Best, Don Bauder

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Don Bauder Jan. 19, 2008 @ 8:51 a.m.

Response to third post: Yes, many people are selling their San Diego homes (while they can still do so), and applying the proceeds to much more house and land in other states. It is a good economic strategy, unless one MUST have the So.Cal lifestyle. Best, Don Bauder

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Don Bauder Jan. 19, 2008 @ 8:54 a.m.

Response to fifth post: A lot of Californians are moving to Oregon. Ditto for Idaho, New Mexico, Colorado. As Laffer says, people are voting with their feet. Best, Don Bauder

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Don Bauder Jan. 19, 2008 @ 8:56 a.m.

Reply to sixth post: I'm afraid you are right: the potholes will only get worse. Ditto for the rest of the infrastructure. We'll be building sports teams for billionaire pro team owners. Best, Don Bauder

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Don Bauder Jan. 19, 2008 @ 8:58 a.m.

Reply to seventh post: I have had troubles, too. We're looking into it. Best, Don Bauder

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Anon92107 Jan. 19, 2008 @ 1:15 p.m.

Reply to above post: Simple and fast solution Don, restore last week's page design immediately.

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Don Bauder Jan. 20, 2008 @ 4:29 p.m.

You've no doubt noticed that in corporate welfare projects such as the ballpark, the unions come out publicly in favor, and then collaborate with the construction industry. This happens in other government-subsidized deals. Also, when an industry is trying to get trade protection, it uses unions as a stalking horse. Best, Don Bauder

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Don Bauder Jan. 19, 2008 @ 1:22 p.m.

Response to above post: you are the second one to complain. I will pass your beefs along. Best, Don Bauder

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Anonymous Jan. 19, 2008 @ 4:37 p.m.

Hey Don, Change is a good thing and I like the new freshened up look. Those other whinners will adapt cause they like offering their comments.

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Don Bauder Jan. 19, 2008 @ 6:19 p.m.

Response to 4:37 p.m. post: I will report that you like it. We need all the feedback we can get. Best, Don Bauder

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sablewing Jan. 19, 2008 @ 8:21 p.m.

I like the new look, it is a nice change. I would suggest having a menu selection on the Blog similar to the menus that appear in the Stories/Neighborhoods/ menu items. I do miss the single click to get your blog from the front page. A drop down menu selection under Blogs would fix that.

And when I tried to click on the Post Comment link underneath this story, it didn't appear to be doing anything. I am using Firefox 2.0.0.11.

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Don Bauder Jan. 19, 2008 @ 10:41 p.m.

Response to 8:21 p.m. post: I will pass your approval on to our tech experts. They appreciate feedback. Best, Don Bauder

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Anonymous Jan. 20, 2008 @ 11:08 a.m.

The lack of an obvious link to City Lights and the Blogs from the main page should be easy to fix.

I actually like the new color scheme.


Back to the original topic, Laffer is laughable, but Don you are correct in the identification of the two headed beast of corporate cronies and government workers domination of political systems.

You wrote:

"corporate welfare and government employee welfare are a deadly combination"

The too work together, from an IT or systems design perspective, it's a spiral. The alleged controllers (unions) of corporate greed, are themselves partners in the greed...like a cancer, it just grows until it kills the host.

It's not limited to sports mogul giveaways.

Wonder why we always have more and more reasons to put little people in jail for longer and longer? Well, where does the CALIFORNIA CORRECTIONAL PEACE OFFICERS ASSOCIATION fall in the rankings of donors to politicians and initiatives?

Right at the top.

The GED educated goons beating up pot smokers in prison are the ones determining our crime and punishment policies.

That's not right, friends.

Same for the educational establishment, the city/county workers, and so many other pubic employee unions. The MEA, Fire/Police and Builders Unions and other carefully timed and targeted independent expenditures have swung elections in San Diego my entire adult life.

Often their short-sighted goals coincide with the traditional big boys, the developers, as in the case with all public construction contracts, saddling us with paying for the convention center, ballpark, stadium, NTC, ad nauseum...

These are the same unions who's leaders shook hands on the back room deal in the nineties to shortchange the pension in order to free up cash to fund the GOP Convention, Chargers Stadium Renovation, the Ballpark Fiasco, and all the other election winning deals of the Golding era, continued by Murphy and Sanders.

With the collusion of corporate and union insiders, fully supported by the UT, television, and radio...how could the public NOT have landed in this damn mess.

And at the same time we're over stuffing our prisons with pot smokers, John Moores, Alex and Dean Spanos, Jack McGrory, Susan Golding, and Casey Gwinn are being showered in our money.

The State of California will ruin your life if you get caught with a few pot plants in your backyard because prison guards write the laws, but if you destroy entire cities through fraud, bribery, and broken promises...hey, you're a public benefactor.

No wonder people are leaving California.

(yet another sdblogger)

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